DEFINITION of 'Dread Disease Rider'. A special addition to a life insurance policy that gives a percentage of the death benefit to the policy holder if he or she is diagnosed with a serious disease, such as cancer or heart disease. Next Up. Money from a dread disease rider is typically used to help offset the medical costs of the disease.
Statistical Experiment. All statistical experiments have three things in common: 1  The experiment can have more than one possible outcome. 2  Each possible outcome can be specified in advance.3  The outcome of the experiment depends on chance.here is more than one possible outcome. We can specify each possible outcome in advance-heads or tails. And there is an element of chance. We cannot know the outcome until we actually flip the coin.
This is an example of a random experiment. In particular, a random experiment is a process by which we observe something uncertain. After the experiment, the result of the random experiment is known. An outcome is a result of a random experiment. The set of all possible outcomes is called the sample space. Thus in the context of a random experiment, the sample space is our universal set. Random experiment: toss a coin; sample space: $S=\{heads, tails\}$ or as we usually write it, $\{H,T\}$.